Andi Dalton, right, a shopkeeper in Bay Head who was displaced by Sandy, will be selling her merchandise for the holiday season at Palm Place, a store in Bay Head owned by Ted Smith, left.

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Andi Dalton expected the holiday shopping season would build on the momentum she saw during the summer, so she stocked up on inventory and waited for shoppers to file into her quaint store in the seaside town of Bay Head.

Yet it wasn't long before Dalton, the owner of Andi's clothing and gift shop, had to write off her Christmas merchandise that was submerged under 31/2 feet of water and make plans to move temporarily.

"It's a difficult situation in the town, especially at this time of year when everybody depends on the holidays to get your last sales in before the long winter," Dalton said. ...